Item-level visibility can also support resilience to “black swan events,” similar to ones the supply chain has recently faced: a pandemic, rebels in the Red Sea cutting off trade routes, and a ship running into a bridge in Baltimore’s harbor. RAISING AWARENESS “These destabilizing events have created massive ripples throughout what was previously a well-oiled machine,” Krishna says. “Because supply chains have to move so quickly, and we demand so much of them, they’re also a bit fragile when it comes to these types of events. They’re not quite as resilient, which means technology has to help plug the gap.” Item-level visibility contributes by raising awareness of the shipment location and condition, and that awareness can equip teams to quickly make informed decisions. When it comes to combating fraud, item-level visibility solutions help in an assortment of ways. “Visibility solutions support stronger security measures by providing detailed insights into the supply chain, allowing retailers to spot counterfeits and determine appropriate products,” Statler says. “Item-level and real-time visibility also enables early detection and responses to any potential disruptions, minimizing the impact of fraud on the supply chain. Visibility also enhances traceability, making it easier to track
and verify the origin and movement of goods, thereby reducing fraud and counterfeit risks.” Given the high level of data associated with item-level visibility solutions, there is also high risk of that information falling into the wrong hands. The right processes and resources are critical to mitigating risks associated with these technologies. “Adherence to proper information security protocols reduces the cybersecurity risks and data breaches that can occur when these technologies are put to use,” Krishna says. “Improperly implementing these protocols can lead to easy cyber hacks and can compromise critical item-level visibility.” LOOKING AHEAD What’s next on the visibility horizon? Nearly 90% of respondents to Tive’s 2024 State of Visibility survey say that digital transformation of their supply chain and logistics operations is a major priority for this year. “A lot of companies are revisiting their tech stack and plan to reevaluate the technology they have in place, and 75% of respondents say that real-time visibility is a key priority within their broader digital transformation efforts,” Daigle says. “Everybody recognizes the importance of awareness at the item level, and they see that IoT devices are one sure re way to stay in the know. Over time, like any other technology, components for these devices will
become less expensive. As prices come down, adoption will continue to grow.” Ambient IoT is now baked into standards for Wi-Fi, cellular, and the next generation of Bluetooth. And new data standards, such as GS1 Digital Link and EPCIS 2.0, enable more robust information to ow throughout the system. ITEM-LEVEL EXPANSION “These advancements will likely allow for end-to-end data visibility, from manufacturers to consumers and back upstream to the manufacturer,” Statler says. “Item-level visibility will likely expand into new industries and applications, driven by continuous advancements in sensor technology and data-processing capabilities.” The greatest challenge to strengthening item-level visibility is improving trust and openness to data sharing throughout the supply chain ecosystem. “It is essential for manufacturers, retailers, and consumers to fully realize the bene ts of item-level visibility,” Statler says. “To increase trust, the industry should continue to focus on data privacy and security, which are crucial as the adoption of item-level visibility solutions grows,” he adds. “And to scale effectively, the industry needs new enterprise applications that support item- level visibility. The old systems need to be rewritten.” The strategic uses of IoT and item- level visibility are only going to grow. “In the long term, we’ll see a transition from the combined application for tactical usage eventually moving into a strategic application where the devices are the single source for aggregated data— especially with AI coming on board,” Daigle says. “AI and machine learning algorithms are only as good as the data fed into them,” he adds. “As companies begin to see IoT devices as a source of high- quality data, they will be able to extract much more value from that data. It’s exciting to see how that all plays out in the coming years.” n
Use of IoT Tracking for Real-Time Visibility Grows
A majority of respondents to a Tive survey say real-time visibility is crucial. More than half have increased their use of real-time tracking tools this year to help combat supply chain uncertainty. Source: Tive
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77 %
77 %
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Real-Time Visibility is Important Use IoT for Real-Time Tracking
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178 Inbound Logistics • July 2024
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